"People of privilege will always risk their complete destruction rather than surrender any material part of their advantage."
John Kenneth Galbraith, The Age of Uncertainty
As a reminder of something we have discussed previously, the COMEX does not take legal responsibility for or audit the bullion inventories reported, as stated in the following disclaimer which they added to their records in June of this year. They rely on the accuracy and integrity of the parties which report this and other information to them.
"The information in this report is taken from sources believed to be reliable; however, the Commodity Exchange, Inc. disclaims all liability whatsoever with regard to its accuracy or completeness. This report is produced for information purposes only."I think this statement by the COMEX is quite clear and to the point.
It is possible to doubt anything. But sometimes we just have to accept that the data is what it is, without imputing to it anything more, or less, than what it may be. And that applies to most data that comes from the markets, which all deserve a measure of skeptical examination, things being what they are.
A broad and continuing review of all the data tends to provide the best and most reasonable approximation of what is real. Where several data sets from various sources resonate their agreement, we may proceed with more confidence than we might from a single source that is subject to error and other human vagaries. And where there is disagreement of measurements in the form of conflicting data, then further examination is required to resolve and understand it.
Having said all this, the inventory which has been reported as registered and deliverable has continued to drop into the August delivery period which starts tomorrow.
And since this and other data seem to indicate a shortness of supply against a continuing strong demand, which generally indicates a higher market clearing price ahead, this is something that we will all watch with keen interest I am sure.
But this is no 'sure thing,' unfortunately, given the propensity for the modern bankers to dictate protractedly their own reality by fiat, that is, by the power of the will, and their persuasive commands. Such are the ways of empire, as they wax and wane in the character of their leaders.
"Boast not of what thou wouldst have done, but do
What then thou wouldst."
John Milton, Samson Agonistes
Stand and deliver.